INDIA. Cochin International Airport Ltd has begun work on its new international terminal, with completion expected by mid to late 2016. And the company has pledged an impressive commercial offer, including close to 40,000sq ft of duty free space. The expansion is in anticipation of rapid growth in passenger numbers. These hit 5.39 million in the latest financial year, up by more than +10% year-on-year.
The new terminal will measure 1,500,000sq ft with the capacity to handle 4,000 passengers during peak hours. This is the biggest expansion of the airport since it began operations in 1999.
Airport Director A.C.K.Nair said: “CIAL has decided on a major expansion considering the passenger growth. We started the construction of a new International Terminal and this is expected to be completed within 30 months. This terminal is to cater to the needs of at least the next 15 to 20 years. We are also creating more retail area in the terminal to maximise the commercial revenue.”
Alpha Kreol India, a joint venture with World Duty Free Group, has managed Cochin International Airport’s duty free business since 2002.
Director AS Lal said: “At 25,000sq ft, the Arrivals duty free shop will be huge. Some 90% of our sales are at the Arrivals shop, spurred by the approximately 3.5 million natives of Kerala state who live abroad and return to visit at least once a year.”
The new terminal will also house a 15,000sq ft Departures duty free store. The airport company has also constructed a duty free warehouse of over 50,000sq ft to meet the requirements of the next 15 years.
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The new international terminal will house 40,000sq ft of duty free space |
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Lal added: “We expect sales to hit US$25.7 million this year, up from US$23 million in 2013.”
Liquor accounts for 60% of the duty free business, followed by confectionery at 21%, supermarket items (including food) at 11%, beauty at 6% and tobacco at 2%.
*We’ll feature more details on the Cochin Airport development in the forthcoming May Print Edition of The Moodie Report.
